The lawsuit said that the combination of businesses would eliminate competition, raise prices and reduce innovation. Photo courtesy of HPE

The Justice Department sued to block Hewlett Packard Enterprise's $14 billion acquisition of rival Juniper Networks on Thursday, the first attempt to stop a merger by a new Trump administration that is expected to take a softer approach to mergers.

The Justice complaint alleges that Hewlett Packer Enterprise, under increased competitive pressure from the fast-rising Juniper, was forced to discount products and services and invest more in its own innovation, eventually leading the company to simply buy its rival.

The lawsuit said that the combination of businesses would eliminate competition, raise prices and reduce innovation.

HPE and Juniper issued a joint statement Thursday, saying the companies strongly oppose the DOJ's decision.

“We will vigorously defend against the Department of Justice’s overreaching interpretation of antitrust laws and will demonstrate how this transaction will provide customers with greater innovation and choice, positively change the dynamics in the networking market,” the companies said.

The combined company would create more competition, not less, the companies said.

The Justice Department's intervention — the first of the new administration and just 10 days after Donald Trump's inauguration — comes as somewhat of a surprise. Most predicted a second Trump administration to ease up on antitrust enforcement and be more receptive to mergers and deal-making after years of hypervigilance under former President Joe Biden’s watch.

Hewlett Packard Enterprise announced one year ago that it was buying Juniper Networks for $40 a share in a deal expected to double HPE’s networking business.

In its complaint, the government painted a picture of Hewlett Packard Enterprise as a company desperate to keep up with a smaller rival that was taking its business.

HPE salespeople were concerned about the “Juniper threat,” the complaint said, also alleging that one former executive told his team that “there are no rules in a street fight,” encouraging them to “kill” Juniper when competing for sales opportunities.

The Justice Department said that Hewlett Packard Enterprise and Juniper are the U.S.'s second- and third-largest providers of wireless local area network (WLAN) products and services for businesses.

“The proposed transaction between HPE and Juniper, if allowed to proceed, would further consolidate an already highly concentrated market — and leave U.S. enterprises facing two companies commanding over 70% of the market,” the complaint said, adding that Cisco Systems was the industry leader.

Many businesses and investors accused Biden regulatory agencies of antitrust overreach and were looking forward to a friendlier Trump administration.

Under Biden, the Federal Trade Commission sued to block a $24.6 billion merger between Kroger and Albertsons that would have been the largest grocery store merger in U.S. history. Two judges agreed with the FTC’s case, blocking the proposed deal in December.

In 2023, the Department of Justice, through the courts, forced American and JetBlue airlines to abandon their partnership in the northeast U.S., saying it would reduce competition and eventually cost consumers hundreds of millions of dollars a year. That partnership had the blessing of the Trump administration when it took effect in early 2021.

U.S. regulators also proposed last year to break up Google for maintaining an “abusive monopoly” through its market-dominate search engine, Chrome. Court hearings on Google’s punishment are scheduled to begin in April, with the judge aiming to issue a final decision before Labor Day. It’s unclear where the Trump administration stands on the case.

One merger that both Trump and Biden agreed shouldn’t go through is Nippon Steel’s proposed acquisition of U.S. Steel. Biden blocked the nearly $15 billion acquisition just before his term ended. The companies challenged that decision in a federal lawsuit early this year.

Trump has consistently voiced opposition to the deal, questioning why U.S. Steel would sell itself to a foreign company given the regime of new tariffs he has vowed.

A team from HCC won the top prize at a tech competition. Photo courtesy of HCC

3 Houston students win international AI competition

top of class

A team of students from Houston Community College Southwest took home the top prize at the Intel AI Global Impact Festival in San Jose, California, last month for AI-based technology they developed to boost safety in the workplace.

Serr Brown, a correctional officer taking classes at HCC; Dina Marie Stager, an office manager at a marketing firm advancing her computer science skills; and student Ryan Galbraith made up the three-person team. Stager is now the first woman to receive the Intel festival’s top prize.

Over the span of three months, the team developed their Indoor Industrial Safety Program, which uses AI and a high-performance drone to map indoor industrial sites and create a 3D digital replica in about 30 minutes. The program aims to help companies better understand its building layout before making additions or improvements, among other uses.

“It’s no small feat,” G. Raymond Brown, HCC AI program coordinator, said in a statement. “It’s difficult to get coordinate data indoors. The problem was solved by the students by using AI to provide the drone with coordinates and accuracy needed to build a 3D model.”

Each member of the team was awarded $5,000, an Intel-powered laptop, and mentorship opportunities after beating out more than 1,000 other entries from 25 nations.

Intel Corporation is an education partner of HCC’s AI associate degree program, which was launched in the summer of 2020. The first class of AI students graduated from the two-year program earlier this year, according to the college.

“I believe that AI has the potential to change the world for the better, and I am excited to be part of the field,” Brown said in a statement. “I am looking forward to learning more about AI and how it can be used to improve the lives of people across the world.”

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Houston's top 25 business and civic leaders named by local organization

HTown leaders

As part of its 25th anniversary celebrations, the Center for Houston’s Future has named its first-ever group of Top 25 Business/Civic Leadership Forum Alumni, including energy transition CEOs and legendary craft brewery founders.

The group was selected from among 1,400 alumni of the Center for Houston's Future's Leadership Forum, which hosts two cohorts per year, bringing together leaders from across industries to focus on issues critical to the long-term success of Greater Houston.

The individuals will be honored throughout the year, starting with an event this Thursday, March 20, at the Junior League of Houston called Leaders for Houston’s Future: Women Who Stand Apart, and culminating in the signature Dinner & Conversation event this fall.

Earlier this year, the organization selected an honor roll of 75 Leaders Who Stand Apart before naming the list of 25. See the honor roll here.

“Both our Top 25 and the honor roll of 75 Leaders are a testament to the amazing group of leaders working for the good of our region every day,” David Gow, the center’s CEO and president, said in a statement. “They are also a reflection of the Center’s historical and ongoing commitment to develop, inspire and connect leaders across all facets of our region.

Gow is the founder and chairman of Gow Media, InnovationMap's parent company.

The Top 25 Business/Civic Leadership Forum Alumni list includes:

  • Laura Bellows, president and board chairman, W.S. Bellows Construction
  • Richard Campo, chairman and CEO, Camden Property Trust
  • Anne Chao, co-founder, Houston Asian American Archive
  • Donna Cole, founder, president and CEO, Cole Chemical & Distributing
  • Suzan Deison, CEO, president and founder, Greater Houston Women's Chamber of Commerce
  • Amanda Edwards, principal, The Community Based Solutions Firm
  • Bob Eury, retired president and CEO, Central Houston, Inc.
  • Sidney Evans II, senior advisor, business affairs, Reliant Energy
  • Roland Garcia, shareholder, Greenberg Traurig LLP
  • Cullen Geiselman, board chair, Houston Parks Board
  • Bernard Harris Jr., former NASA astronaut
  • Winell Herron, senior vice president of public affairs, diversity and environmental affairs, H-E-B
  • Paul Hobby, founder and managing director, Genesis Park
  • Laura Jaramillo, executive director, LISC
  • Melanie Johnson, president and CEO, Collaborative for Children
  • Laura Murillo, president and CEO, Houston Hispanic Chamber of Commerce
  • Wilhelmina "Beth" Robertson, president, Cockspur, Inc. and Westview Development Inc.
  • Judson Robinson III, president and CEO, Houston Area Urban League
  • Kimberly Sterling, principal, Sterling for Good
  • Y. Ping Sun, of counsel, Yetter Coleman LLP
  • Bobby Tudor, founder and CEO, Artemis Energy Partners
  • Brock Wagner, founder, Saint Arnold Brewing Company
  • Barron Wallace, public finance partner and practice group co-Head, Bracewell LLP
  • Marc Watts, president, The Friedkin Group
  • Beth Wolff, founder and chairman, Beth Wolff Realtors

Eury, Sun and Wolff serve on the center’s board of directors.

“I’m grateful to be included on the Top 25,” Wolff said in the release. “I cannot stress enough what an extraordinary opportunity it is to participate in the Leadership Forum and focus on Houston’s future. Fellow cohort members become friends and colleagues working together in service of the community.”

This week's panel will feature Cole, Geiselman and Herron. They will be joined by Lharissa Jacobs, executive director of Fit Houston, who made the top 75 list. Frances Castañeda Dyess, president of the Houston East End Chamber of Commerce, will moderate.

California-based healthcare co. expands to Houston with new bioskills lab

med skills

Axis Research & Technologies, a California-based healthcare innovation solutions and medical research company, has expanded into the Houston area via a new 10,800-square-foot bioskills lab in Shenandoah last month.

The facility includes a main lab that’s configurable into a single space with over 20 stations, two more lab suites for specialized bioskills training, a conference room for presentations and a large multipurpose area.

Medical professionals can simulate a fully functional operating room in the lab for training and education. It also has the capability of handling cadaver specimens.

The company says the new facility aims to serve surgeons, medical device companies, hospitals and research institutions.

Axis was attracted to Houston thanks to the Texas Medical Center and other world-class medical groups, according to a release from the company. The facility in Shenandoah will be near medical facilities in The Woodlands.

“We are thrilled to expand into the Houston market,” Jill Goodwin, COO of Axis, said in a news release. “This new facility was driven by demand from our clients who have expressed a need for a high-quality bioskills lab in Houston. We repeatedly heard this feedback at the most recent American Academy of Orthopaedic Surgeons (AAOS) conference, which reinforced our decision to bring Axis to the region.”

Axis hosted its first lab event at its Houston-area venue on Feb. 22. The facility is currently accepting bookings for medical trainings, research collaborations and use of its bioskills lab.

“Our goal is to create an environment where groundbreaking medical advancements can take place,” Goodwin added in a news release. “Houston is home to one of the largest medical communities in the country, making it a perfect fit for our expansion.”

Axis' other bioskills labs are located in Nasvhille; Irvine, California; and Columbia, Maryland.